thank. you thank. you. the e.u. heads out of credit rating agencies after a downgrade of portugal's debt to junk status leaves world markets panicking over a fifth bailout and the knock on effect. russia's foreign minister describes and nato's role in libya as a cynical saying it comes too high a price of civilian deaths and a continued stalemate. and greece's detains of the last of the votes headed to the blockaded gaza by the un as expressions of publish a long awaited report on israel's deadly assault on last year's. and i'll stop story in business the european central bank increases its key

interest rates by twenty five basis points to call inflation what could help the europe strong economies avoid overheating could be a double edged sword for peripheral countries join me for more on this and other stories in our business bulletin i think it's. a very warm welcome to you this is r.t. live from moscow i'm shy unjustified and unfair but with the power to determine the fate of entire countries that's the verdict of germany's finance minister on the world's big three credit rating agencies after portugal had its debt downgraded to junk status and move is having a disastrous effect on the e.u. ripping apart the relative calm wrought by a second the greek bailout panic is proving contagious with fresh fears emerging that ireland and also need another cash injection it comes as germany and the

e.u.'s biggest economy debate the very legality of the bailouts according to one financial analyst of a strong response from the european union was the first attempt to offload responsibility for the current crisis. we have to face a situation where there is a matter of. raising of concern which is really is that bad news the markets and its investors today the e.u. tries to find responsibilities and maybe to say to the public opinion you've got a problem here european commission has tried to run since this is a different work on the difference to your conduct and each time zicam considers the same rating these the rating is correct the only problem that we've got that's maybe on the i joined there was a don't grade some of the european officials are trained to ask your rating agencies to stop really there are different problems to see it's a big european countries regarding to zero budget but and we've got

a real real big issue considering the cash in which there is not coming. from and to look like the refinance it's a decent on interest because of the legal groups the benefit is coming from the lake of the group since it is countries and their bad economic news and secure again it's a question of the grading if only we can see the. real greek mess. well the cash strapped e.u. is giving christine legarde much to think about first days in charge of the i.m.f. she told reporters that she's picking up the baton from her predecessor to deal with the problems and reforms that again under dominic strauss kahn that is i think christina fears our reports there's still more interest in muck raking in money matters. the from violence on the streets of the middle east. to protests in north africa to europe. portugal's credit rating has been

deemed junk. and in greece the owner unemployment hovers at about sixteen percent and the debt crisis has sparked anger nearly all of this anger stemming from poverty and failed economic policies in the us as well high unemployment sits atop a mountain of problems like a housing crisis and slow financial growth. this is the world christine legarde inherits as she begins her new post as managing director of the international monetary fund and her first formal meeting with the press at the i.m.f. headquarters in washington she seemed optimistic in her hopes the international monetary fund is here to serve and to provide services to its hundred and eighty seven members it's not the sexiest of news stories but fill the inaugural press conference for the new managing director of the i.m.f. there garner quite

a bit of media attention not likely and have left to deal with christine lagarde herself and more to do with the reason why she's here. what lessons do you think or to be drawn from the way the u.s. legal system and though this case we could be any reforms in the human relay and human resources policies here do you plan any changes in them in light of the controversy over mr strauss and the controversy of course with dominique strauss kahn accused of raping a hotel maid in new york and that case now starting to crumble after it turned out the maid had credibility problems but banks of the i.m.f. were low guard will take over let me ask you about a couple of issues what worries you the most look are did her best to stay on message we cannot be only driven by the hope to reduce fiscal deficits and organize fiscal consolidation in

a big way whether you look at advanced economies or whether you look at emerging markets a low income countries issue of employment. is a critical one the one hundred eighty seven nation organization has already led one hundred sixty billion dollars to cash strapped nations many of which have little hope for paying it back. so the real questions are manifested here on the streets of some of the nation's suffering the most are accepting aid from the i.m.f. has been presented at times as the only option as i stared the measures are now being put into place the questions too are in the dollar and how its value may or may not change under her watch for managing the debt crisis around the world will fall of the top of her agenda as the rest of the world watches with hope first ability in an unstable world in washington christine for south r.t. and i still have for you this hour here on r t why seeing the lights could be the.

pilot to play a passenger airliner arriving from if somebody were dazzled by paul called realize that they are prompted by someone on the ground but nothing but is it something from the time before that that makes accident i curse. you with r.t. live from moscow now russia's foreign minister has slammed nato for its cynical actions in libya during an interview with russian television so he left off so the alliance is topic of bombing the country until colonel gadhafi steps down or has inflicted too many unjustified civilian that's what he's paid all of has been following what laughed off how to say. how to hi peter so russia is sticking firmly to a start isn't it with its criticism that nato keeps breaching the u.n. resolution on libya. well indeed we heard from a very vocal sort of

a lover of today really criticizing what he sees as the essential mission creep of the ongoing outside intervention into the libyan situation now he treated comparisons between what's happening in libya under the bombing of the former yugoslavia and fight saying this the public campaign by nato against colonel gadhafi has actually gone on far longer than the bombing campaign that was conducted against parts of the former yugoslavia. it's obvious that politics is a cynical matter we hear from the western capitals that the bombing should go on until gadhafi backs off but the human cost of these political statements is very high school. well it wasn't just libya that was on the agenda first for of to speak about he also brought up syria you know in syria he was saying well drew the conclusion was he sees as the. somewhat lack of continuity

when it comes to the western powers deciding who they're going to intervene on behalf of. of course we're looking at a situation too in syria where there is that opinion that people should be involved for in country should be involved and yemen which seems to go without notice in syria he did say this he was concerned that the focus seems to be wholly on the the assad government and how to display it rid off them. well you know this isn't acceptable that the opposition should resort to violence provoking peaceful protesters to join acts of violence and therefore making them a target for police or security forces. so again they're speaking about the ongoing situation in the arab world. earlier this week the russian city of sochi was hosting nato is leading officials where a science once again discussed the issue of the missile defense project in europe i

didn't bring either side any closer to the us i want to have to say about that today. well the situation to be ongoing for years now sergey lavrov had to say that . the well as it stands out the moment if if the west was a nato were willing to allow russia to be part of developing this this on t missile defense shield then brushy was willing to lend its help however it seems that the powers that be that i want to implement this until this all defense shield on twiddling to provide russia with any any legal anything written down on paper essentially they will say that it won't be used against russia now this is where russia really gets into it's a negotiating a negotiating partner as it were with the the main players behind this on t missile defense shield which is the united states and mr lavrov went on to say in this

interview that he gave to russian television but he thought that there was too much reliance upon dealing with the united states. to do some of the idea of a european missile shield belongs to washington and right now there is a person under way nato to join this u.s. around global projects europe can only make a minor contribution and some second tier details therefore are a key partner in the negotiations is washington. post busy day for the city lover of the russian foreign minister a triple header as you will of issues that he brought up today in an interview with russian television all right i think after all of that i live in central moscow i thank you. in a couple of minutes here on arceo we report on how some people in russia are coping with the age old problem of growing up. in the west people are apprehensive abroad mainly because of the associated health problems and here in russia india is

willing to cooperate see the loss of dignity and warring is. now a top of his past they are here in moscow a french ship bound for gaza would has been stopped in crete that comes as the un is due to report on last year's israeli raid on a humanitarian for tiller which killed mines hope its activists they report is being held back because of the well between israel and turkey which followed the saga are things up honestly and our join us live and give us the details on that. so what exactly is it that the two countries can't agree on and i one of the wider implications of. the heart of the dispute is the whole question of an apology and here is the will is insisting that tel aviv apologize for its role in the greens so far the israelis have refused to do this the israeli foreign minister in particular added to lead them insisting that israel will not apologize presumably because the israelis are feel full that it will open the floodgates for

a whole host of legal claims to be made against the jewish state in steve israel says it will express its word grit for the loss of life now for the last few days almost round the clock israeli and turkish representatives have been meeting in new york to trying to hammer out some kind of agreement that is acceptable to both sides we understand that the sticking point is over the looting of the documents now no doubt both sides want to reach some kind of agreement quietly doing issuing this report because it will help in terms of we can see a shift it will be much harder for that we can see asian to be made after the report is issued but we do understand at this stage is that even the port said that week blockade is not illegal but it does criticize israel for excessive use. of course and you need to remember that that excessive use of force left nine turkish citizens on board the largest ship among the mamma did. a poll about what are the latest on this year's i mean it's been seriously happen hasn't it.

it's it has been seriously hampered most of the shots on school because greece where athens has imposed a blanket ban preventing any ship from sitting sail if it plans to sell to gaza what we do know is that one of the ships the french boat which is called the dignity that has an age of twelve people on board it's a sail used to date wednesday but today when it stopped to be fueling crete there it was stopped by the greek authorities and now the ship known as the audacity of hope its american captain was only detained the charges were that he was in danger and the safety of passengers he has been released but that is not necessarily a good sign at all because another ship the canadian ship that is known is there to heena that ship to see it sail it's also been forced to return to greece and made all the passengers and all the crew on board have been detained at the same time there is something happening that's being called a flight and that is an expectation of some six hundred activists from fifty

european destinations flying into israel's largest it will bring billions more of friday night radio parties as you can really imagine are on high alert israeli chris is reporting that they have the names of some three hundred people who plan to fly in israeli police are not confirming that but no doubt they will be a lot of attention tomorrow on the airport where people plan to show the support not only for the fertility for the people of gaza and palestinians in general all right i think our policy at reporting live from todd akin thank you. well eyeliners are most vulnerable during takeoff and landing but as an increasing threat from the ground with a beam of light to regret robot reports on now please hunt for the hooligans with a laser pointers which blind pilots at the worst possible moment. they really become clear proof of the downs a laser in the eye can be a major distraction the food bill or a christian or

a knowledge of plant and. the consequences could be catastrophic if someone is targeted well flying an aircraft with hundreds of passengers on board blinding pilots by laser beams has become an increasing new says in russian over fifty attacks registered since the beginning of the year. the latest incident was that this mosque was on the pilot somebody who probably a passenger allied arriving from istanbul were does so by possible green light aimed at the aircraft by someone on the ground just where it's late and not a problem. but i think what but it's only a matter of time or at that accident occurs because we were going to during landing just one hundred meters above the ground when we were only a kilometer away from the runway as a result we were in danger of losing control the crew was dazzled in a catastrophe could happen. in the worst case scenario harmless can land

automatically but not fool as in learned on autopilot and even if they do those in the cockpit need to remain in control and be able to see. the effect of a laser beam on a pilot can be compared to that of lightning a blind you. potentially lethal laser guns imported from china can be bought in russia for as little as a hundred dollars firing a laser beam as far as five kilometers they can gone through paper and even plastic . in the u.s. sales of such devices are banned russian legislators are also considering outlawing them and toughening punishment for this advance those some are shining a spotlight on the police calling for more action the question was in court of everyone's waiting for a new laws but there's no excuse for police in action and a ground of our current legislation is good enough if it is allows for the arrest

and imprisonment of such foods for up to ten years in prison as of now there has been only one arrest in russia for intentionally targeting an aircraft with a laser with this suspect still under investigation attempting to down a plane by other means would be classed as terrorism public concern in russia is rising about the potentially equally serious waste from laser allowed and their high tech hooliganism it's been a grouch over our team still. four people have been a wrestler in georgia suspected of spying among them high profile photographers including our personal snapper to the country's president the country's opposition has described the arrests as a publicist on our callers for having sentences handed out there for spying earlier this week to a group of russians and georgians have to watch as you go to prison off more details on this. they got high what we know about today's arrest of a at this point all these arrests started late on wednesday and went on until early

thursday and we're talking about some review high profile photographers in georgia including the personal photographer of president mikhail saakashvili the official photographer of the foreign ministry off georgia that man actually went on a hunger strike according to his lawyer in for tests to this arrest and also some employees of some of the well known international media and news agencies like the associated press and the european court of press agency although it is reported. that the a.p. photographer has been released already after aquash me according to reports coming even from some of the family members of the taint they could be tried they could be charged with espionage there are homes were searched there are cameras and computers were seized and apparently now they're still being questioned now

several human rights groups in georgia have already called this a direct violation off the freedom of speech and have demanded the immediate release of these photographers point how you go to a moment what about the other case we mentioned about a group of russians and georgians getting some a pretty stiff sentence for espionage and what's been the reaction to. well five georgian citizens and four russian citizens that were giving quite heavy all lengthly jail sentences on a wednesday by georgian authorities after they were found guilty or for forming a spy ring and supplying secret information to would be a russian intelligence service we're talking about some really heavy jail sentences from eleven years to fourteen years of imprisonment i should be the longest term was given to our russian citizens you the screen you go who is believed according to the georgian authorities of a believer that he was the head off the spy ring and also the connection between

the ring and the russian intelligence service now though we are seeing that all of them have pleaded not guilty in fact good skinny girls all lawyer says that his client is grieving the deal is going to be heavy serious medical condition and also the lawyer say that they're not they're not able to. talk about the skis so a lot they're not able they are banned from disclosing any details about this case the only thing they say is that the authority. i found some some simple words for mobile phones which can be classified information on them and used this. as proof during this case according to the georgian opposition they see that this is the stunt conducted by the authorities in order to divert the public's attention from real political and economic problems in the country all right our teams are

going to one of our live in central moscow thank you. or let's check out some other headlines from around the world for you this hour in india at least thirty five people were killed thirty nine injured after a train crash into a bus at a railway crossing and dragged. along for over five hundred meters when the bus was carrying guests from a wedding party but had stopped at the crossing due to a broken axe or injured were taken to a nearby hospital with the help of the local people who rushed to the scene. parts of southwest china are suffering from continued heavy flooding with rain triggered mudslides cutting off access to a pivotal highway in the province of says juran state media reports at least twenty five people have been killed across the country over the past week of downpours seasonal floods have already taken the lives of around two hundred and sixty people in china over the last month. all right so now in our regular russia close up

series our crew takes you to the gateway of siberia. russia's a critic on the region allies south of the mighty ural mountains and is bisected by the famous trans siberian railway the area is one of russia's main food supplies giving it a rich agricultural heritage with one of siberia's oldest cities as its capital it also has an aging population but as aunties oksana boyko found out it's found a way to give them a helping hand. she may be eighty nine but alexandria vonna doesn't have too many happy memories to dwell on a lost childhood a workaholic youth a hard working adult life when a five she married an older man and devoted her time to caring for him they do have

children so she always knew eventually she'd be alone most people used to ask me why i worked so much they would so you don't have kids why do you need money and i would respond if i had kids they'd help me when i'm old and since i don't have children i needed to work hard at these they would accept me in a retirement home yet her faith you could train she could never have expected when alexander could no longer care for herself and was about to move into a nursing home a local family offering to adopt her overnight she received two grown up kids and a granddaughter who seemed to need her just as much as she needed them my mother passed away who just couldn't come to terms with it we were really longing to how grandma going house was a company and old process around this family's part of the senior adoption program pioneered in the gun region six years ago the local authorities say it's a win win for all involved senior citizens receiving family care and they're

dotting family getting benefit payments in return. one hundred dollars a month may not seem like a lot but in remote russian villages where jobs are scarce any source of income is valuable you see on the eve who plays a senior citizen and a nursing home it's cost the local budget between four hundred and five hundred dollars per month but where they live with families is down to about one hundred dollars per person the economic effect is obvious but the most important thing is that elderly people enjoy the comforts of family life yet despite its apparent all round appeal the program is still small involving. only around fifty passion and there is a cultural reason for it traditionally in russia outer care has been seen as a responsibility of family members being placed in a nursing home still i still see this machine and stigma and it seems that the idea of living with strangers is not the easiest sell are either

one dispassion or joint believing that her mother the arrangement was it would be only for a year or so not to seventy two and has no children no close relatives and she is deeply concerned her deteriorating health will be a burden for others. and like it here we haven't heard a single fight for them why should they care for me when i can barely move around i don't want to burden anyone while saying that doesn't feel there is a lot to celebrate about being all her hopes her remaining time will be brief she says at least now she has somebody to talk to. getting older is one of the biggest fears in the russian society wars over terrorism natural disasters and crime and while in the west people are apprehensive abroad ageing mainly because of the associated health problems here in russia aging is linked to poverty loss of

dignity and wellness. but at least for these two pensioners it's no longer the same old story a subway car or it's called on the region. time to say hello to korea. pillows on the floor got a. little polish the international sanctions president takes place in flows on july ninth entrants. to slip into lectures by russian designers in the most beautiful vulgar city of central russia. business events live for children function shows slowness like presiding over the festival. president james mrs.

currie welcome to business this hour europe is tightening belts the central bank has decided to increase its cancerous traits by twenty five basis points in order to cool inflation and move could help europe strong economies to avoid overheating it could be a double edged sword for profile countries. lisi bees decisions tight monetary policy means higher interest rates across the whole of the euro area unfortunate that doesn't apply uniformly so what russia is seeing is that in the pre-crisis period for a given level you see interest rates businesses and households across the euro area and freeze who are comparable interest rates regardless of whether situated why now we have a position whereby interest rates in say germany are far lower than businesses and households and they are in the periphery say for greece or portugal so although we do hope those raise interest rate increase does me higher rates across the whole of the euro area unfortunately the areas that need least the type system and requires that actually have the most frightening as

a result of this decision. let's look at the markets european indices extend their rise up to the european central bank grazes main interest rate to one hundred percent the bank of england has kept its key interest rate on tanks as worries about the economy is recovering overweight concerns about a block target nation efforts in the dax are pointing upwards in london hedge fund manager mangrove rally two point nine percent through pouring record sales of nine billion dollars. the russian markets are trading strongly in the black tracking games in the u.s. and asia investors globally are keeping an eye on the post office called fresh clues as to its handling of policy itself. that's the business for this hour i'll be back with more at forty five minutes from now. in the room.